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The Delta State Government has released ₦1 billion to the Bank of Industry (BoI) as a revolving loan fund to boost Micro, Small and Medium Enterprises (MSMEs) across the state.

The initiative was formalised on Tuesday, January 13, 2026 with the signing of a Memorandum of Understanding (MoU) between the state government and the BoI at Government House, Asaba.

Governor Sheriff Oborevwori described the programme as a major milestone in his administration’s drive for inclusive growth, job creation and sustainable economic development under the MORE Agenda.

“Today marks a remarkable moment in our unwavering commitment to job creation, inclusive growth and sustainable economic development,” the governor said, noting that the fund approved by the State Executive Council in 2025, was designed to tackle the persistent challenge of limited access to affordable finance faced by MSMEs.

Oborevwori emphasised that MSMEs remain the backbone of any strong economy, accounting for the largest share of employment and serving as critical drivers of growth.

“By providing our traders, artisans, agro-processors and small-scale manufacturers with access to capital at single-digit interest rates, we are empowering them to expand, create jobs and contribute meaningfully to the economy,” he said.

He explained that the fund was deliberately structured as a revolving loan to ensure sustainability and reduce the burden of high borrowing costs that often stifle entrepreneurial growth.

“This ₦1 billion is a revolving fund. Loans must be recovered so other eligible entrepreneurs can benefit. This responsibility is non-negotiable and must be handled with utmost diligence and integrity,” the governor stressed.

Oborevwori said the choice of the Bank of Industry as fund manager was based on its strong track record as Nigeria’s leading development finance institution, with robust credit appraisal systems and business support frameworks.

“Our partnership with the Bank of Industry goes beyond finance. It integrates vital business development services that entrepreneurs need to thrive in a competitive economy,” he added, expressing confidence in the bank’s capacity to manage the fund transparently and efficiently.

The governor also cautioned against over-reliance on grants, noting that while grants remain relevant, unstructured handouts can undermine accountability.

“When you keep giving grants without structure, some beneficiaries may not value the funds. This loan-based model will instil financial discipline and promote sustainable growth,” he said, assuring that the programme would complement, not replace, existing empowerment schemes.

On the timing, Oborevwori disclosed that the scheme was shifted from December to January to maximise impact.

“January is when entrepreneurs are fully focused on rebuilding and expanding their businesses for the year,” he noted.

He further revealed that the ₦1 billion fund could be significantly scaled up if properly managed.

“If this fund demonstrates impact, we can scale it to ₦10 billion, ₦20 billion or even ₦30 billion. This is just the beginning,” the governor declared.

Earlier, the Managing Director of the Bank of Industry, Dr. Olasupo Olusi, described the partnership as a strategic move to deepen enterprise development and unlock sustainable economic growth in Delta State.

He said the revolving fund would improve MSMEs’ access to affordable finance while strengthening collaboration between the state government and Nigeria’s premier development finance institution.

The initiative, he added, aligns with BoI’s mandate of translating policy priorities into practical financing solutions that address real business challenges across key sectors of the economy.

“As Nigeria’s leading development finance institution, the Bank of Industry remains committed to working with governments and the private sector to create opportunities for businesses to innovate, create value and remain competitive,” Olusi said, commending the Delta State Government for its strong commitment to economic development.